Countries in Europe did the same thing when it came to Iran.
China has oil reserves, but probably not enough to keep up with demand for more than 20 years. But they have plenty of coal reserves, so EV's probably make sense for them.
Conversely, the U.S. has plenty of oil, coal, natural gas to produce energy, yet our government limits our access to them. We could easily fuel/power everybody's cars cheaply if the government got out of the way, but they won't. They even restrict mining of the "rare" earths we have in U.S. soil, including the large cobalt deposits in Minnesota, to make it hard to build the EV's they demand everybody switches to.
The free market would solve a lot of problems.